Venezuela's Partnership With Russia And China Will Fortify The Oil And Gas Investments In The Country

London, United Kingdom (PressExposure) November 20, 2009 -- The Venezuelan governmentâs agreements with Russia and China will boost the oil and gas investments within the country. Petroleos de Venezuela SA (PDVSA), the state owned Oil and Gas Company and Russiaâs National Oil Consortium have signed a memorandum of understanding on cooperation for the exploration of oil reserves in the Orinoco belt. Closely following this agreement, Venezuela has signed an agreement with China for developing its resources in the Orinoco belt.

The investments are intended to develop Venezuelan oil and gas fields. The Latin American country depends majorly on oil and gas exports and its declining oil revenues since the global recession as well as confiscation of foreign assets due to nationalization has hampered the fresh investments for oil and gas explorations within the country.

The MOU is anticipated to revive the ailing oil and gas industry. Russian National Oil Consortium which comprises of TNK-BP, Rosneft, Lukoil, Gazprom Neft, and Surgutneftegaz is likely to fund infrastructure investment worth $600 million initially. The Russian consortium will support the development of new blocks along with Junin-3 Block, Ayacucho-2 Block and Ayacucho-3 Block, which were being handled by Russian NOCs. On the other hand, China has agreed to invest close to $ 16 billion over 3 years in the Orinoco belt.

This analysis was taken from a research paper published by GlobalData, to download the full Research Paper for free, click below:

ResearchViews is your number one portal for industry related news, research, analysis and deals data. ResearchViews offers up to the minute content produced by an expert team of industry analysts.

All content on the site is free to view and allows users to keep up to date with the latest developments in their chosen industry. Free daily and weekly newsletters provide a snapshot of the major issues affecting the industry. The site also features a research store, providing the user with access to premium business intelligence from some of the world's leading market research publishers.

About GlobalData

GlobalData is a global market intelligence services company providing information research and analysis products and services.